23th of June 2008 AdAge Update

More later - and if you wish to comment -

business@theadcompany.com.au

Tony Clemenger

 

Old AdAge Daily Updates can be found at - AdAge Daily Updates.

Advertising & Promotion Campaigns

 

 

Ads remind Labor of vow

The Australian
Page: 2 : 23 June 2008
Original article by Brad Norington

LexisNexis Summary: Advertising & Promotion Campaigns

Unions have increased pressure on the Australian Government with a new TV advertising campaign. Unions are concerned that the Australian Labor Party will not fulfil its election promise to abolish the former government's Work Choices laws. They are also concerned that the introduction of new laws is moving too slowly. The ACTU's advertisements, shown on commercial TV from June 2008, promote the benefits of collective bargaining


 

 

 

BMF admits to Naked ambition

The Australian Financial Review
Page: 50 : 23 June 2008
Original article by Noelle Waugh

LexisNexis Summary: Advertising & Promotion Campaigns

Sydney advertising agency, BMF, plans to benefit from being part of the network of Photon Group. The marketing services company bought BMF for $A25.6 million in late 2007. BMF CEO Matthew Melhuish said that, in the nine months since the acquisition, the agency has won new clients and plans to utilise Photon's network to increase its business. It is also considering overseas expansion and has held initial discussions about a joint venture with a London agency, Naked


 

 

 

Expectations higher than Ten's Falloon

The Australian Financial Review
Page: 49 : 23 June 2008
Original article by Neil Shoebridge

LexisNexis Summary: Advertising & Promotion Campaigns

The media industry has rejected the Ten Network's claims that the $A2.9 billion capital city advertising market is weak. Experts believe Ten's pessimistic outlook results from poor ratings, not a drop in TV ad spending. In early June 2008, Ten executive chairman Nick Falloon forecast a drop in earnings of 10% for the 12 months to August 2008, blaming the results on the media advertising market. The share prices of some media companies fell as a result, but media buyers were "surprised" by Falloon and forecast that TV advertising will grow by 3% to 4% in 2008

 

Products & Services

 

 

Digital rethink may include more fee risk

The Australian Financial Review
Page: 49 : 23 June 2008
Original article by Neil Shoebridge and Noelle Waugh

LexisNexis Summary: Products & Services

Advertising agencies have to put their creative skills to work. Changing industry conditions mean they must innovate for revenue. The traditional model focuses on TV advertisements for margins, but revenue is running dry as clients are increasingly looking towards digital marketing, brand and product modification, or an overhaul of customer experience. Agencies find it difficult to meet these needs. Additionally, agency executives often complain that their competitors are price-cutting, leading to calls for performance-based pay across the sector


 

 

 

Heinz bean counters plan a serious jam session

The Australian Financial Review
Page: 50 : 23 June 2008

LexisNexis Summary: Products & Services

HJ Heinz Australia will increase the marketing of its Cottee's brand. The Australian food manufacturer acquired the licensing rights or ownership of a number of brands from Cadbury Schweppes in July 2007. In June 2008, Heinz Australia MD Peter Widdows said that the marketing of the brand will be escalated and a new range of products will be introduced. He said that the total Australian marketing budget will rise by 35 per cent and over 100 new products will be brought to the market


 

 

 

Macquarie launches new listed loan series

Money Management
Page: 8 : 12 June 2008

LexisNexis Summary: Products & Services

Macquarie Securities Group has launched 51 different listed protected loan products (MQ LPLs) on the Australian Securities Exchange (ASX). The first MQ LPL product was launched in May 2008. Pia Cooke, associate director of the group, said Macquarie intends to offer MQ LPLs on a quarterly basis. MQ LPLs offer investors the combination of capital protection, tax efficiencies and the flexibility of trading on the ASX


 

 

 

DIY global investment portfolios launched

Money Management
Page: 10 : 12 June 2008
Original article by Justin Lim

LexisNexis Summary: Products & Services

Credit Suisse Investments has launched new Global Themes 100 Trusts. The new product, distributed by Macquarie Equities, offers investors access to themes and markets such as agriculture, Asian property, China and India. Adam Cowperthwaite, the head of Credit Suisse's Asia Pacific structured retail products group, said access to these markets and asset classes are not always easy to retail investors

 

E-Business

 

 

Close but no cigar: we need to lift our advertising game

The Australian
Page: 29 : 23 June 2008
Original article by Lara Sinclair

LexisNexis Summary: E-Business

Australian advertising agencies received four gold awards, seven silver and 13 bronze at the Cannes International Advertising Festival. Australia won only a single silver Lion in the "Cyber" category, and risks being left behind unless there is an improvement in high-speed broadband infrastructure. Australia also failed to secure a finalist for the new "Film" categories for mobile and internet TV. The Australian advertising sector needs to become more involved in the emerging segment of internet film

 

Marketing Strategy

 

 

Picture not yet clear on digital TV

The Australian Financial Review
Page: 48 : 23 June 2008
Original article by Neil Shoebridge

LexisNexis Summary: Marketing Strategy

Australian media buyers are being briefed on the standard-definition digital channels the commercial free-to-air broadcasters plan to launch in 2009. Nine Network Australia, Seven Network and Ten Network believe the new channels will help restrict the growth of pay TV, which accounts for 60% of viewing in the 29% of homes that have it. Few details have been released of the content and advertising rates for the new channels. Mitchell Communication executive chair Harold Mitchell said the broadcasters have to develop the new channels in a way that does not harm their existing ones


 

 

 

Built on a firm base

The Australian Financial Review
Page: 18 : 21 June 2008
Original article by Mark Fenton-Jones

LexisNexis Summary: Marketing Strategy

Costa Anastasiadis opened a gourmet takeaway pizza shop after gaining experience running the pizza operation at his family's hotel. Anastasiadis says he opened the first Crust Gourmet Pizza Bar because the family hotel was not a "great earner", not because he had an especially innovative idea. The Sydney business was earning $A15,000 per week by the end of 2002, so Anastasiadis set up a second outlet in Melbourne. In 2005, when he was 26 and Crust Gourmet had five family-owned stores, Anastasiadis decided to adopt a franchise model. The chain now has 15 franchised stores and turnover of over $A11 million per year


 

 

 

Shingle Inn finalises franchising plan

Inside Retailing
Page: 9 : 16 June 2008
Original article by Lyn White

LexisNexis Summary: Marketing Strategy

Queensland's Shingle Inn group is a small chain of bakery-cafes, like 1930 teahouses. The group has been in operation for 72 years and is now run by Andrew and Peter Bellchambers. The brothers plan to expand in Queensland, by launching up to 30 new stores in the state over three years. They intend to franchise the stores and gradually move into the southern states. All the bakeries will be supplied with fresh products every day from a central bakery

 

Consumer Behaviour

 

 

Costco warehouse retailer appeals to the big spenders

The Age
Page: B3 : 23 June 2008
Original article by Chris Vedelago

LexisNexis Summary: Consumer Behaviour

US retailer, Costco, will open its first Australian business in mid-2009. In mid-June 2008, it announced that its first outlet will be at Docklands in Melbourne. Its $A60 million warehouse will stock about 4,000 product lines. One retail expert said that Australians have been moving away from one-stop shopping so they would have to change their buying behaviour for Costco to be successful. Another said that Australians are not used to the concept of paying to shop but concerns about the cost of living would make its cheaper prices attractive to consumers


 

 

 

Qantas a loser in brand wars

The Australian Financial Review
Page: 50 : 23 June 2008
Original article by Neil Shoebridge

LexisNexis Summary: Consumer Behaviour

Australian consumers have lost their faith in the brand of airline, Qantas. In 2006, Qantas headed a survey to rank Australia's most authentic brands. In another survey in 2008, Qantas fell to 14th place. Wayde Bull, of Principals, said that Qantas's standing had suffered because of a failed private equity bid for the airline and declining standards in customer service. Microsoft topped the survey, followed by Google


 

 

 

Super losses put retirement on hold

The Australian Financial Review
Page: 3 : 21 June 2008
Original article by Madeleine Koo and Zoe Fielding

LexisNexis Summary: Consumer Behaviour

The global stock market slump has prompted many Australians to defer their retirement in order to rebuild their superannuation savings. People who borrowed money to invest in super ahead of tax reforms in 2007 have fared especially poorly, as they have faced higher interest rates as well as reduced super accounts. In the June 2007 quarter, an extra $A14 billion was invested in super funds. Since June 2007, balanced super funds have contracted by 5.2 per cent excluding fees and taxes


 

 

 

Slowdown hurting Clive Peeters

Inside Retailing
Page: 10 : 16 June 2008

LexisNexis Summary: Consumer Behaviour

The Clive Peeters group in Australia is a retail chain selling whitegoods and electrical appliances. The tough economic environment in 2008 has taken a toll on the chain. The group has informed the ASX that earnings could fall by 25% after the retail market started to slow and deteriorated further in 2008. Greg Smith, the managing director, said that consumer confidence has weakened because of high interest rates and high food and fuel prices. Smith added that the group is curtailing costs and will roll out new stores in the right locations. He argued that the group has low gearing and may be able to acquire other retailers

 

 

 

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